The Bureau of Customs is a Philippine government agency under the Department of Finance.

The
Bureau of Customs was established on February 6, 1902 by the Insular Government of the
Philippine Islands of the United States of America, during the American Colonial Era of the
Philippines.

Function[edit]
The Bureau has the following duties under the Customs Modernization and Tariff Act (RA 10863):
(a) Assessment and collection of customs revenues from imported goods and other dues, fees,
charges, fines and penalties accruing under the CMTA;
(b) Simplification and harmonization of customs procedures to facilitate movement of goods in
international trade;
(c) Border control to prevent entry of smuggled goods;
(d) Prevention and suppression of smuggling and other customs fraud;
(e) Facilitation and security of international trade and commerce through an informed compliance
program;
(f) Supervision and control over the entrance and clearance of vessels and aircraft engaged in
foreign commerce;
(g) Supervision and control over the handling of foreign mails arriving in the Philippines for the
purpose of collecting revenues and preventing the entry of contraband;
(h) Supervision and control on all import and export cargoes, landed or stored in piers, airports,
terminal facilities, including container yards and freight stations for the protection of government
revenue and prevention of entry of contraband;
(i) Conduct a compensation study with the end view of developing and recommending to the
President a competitive compensation and remuneration system to attract and retain highly qualified
personnel, while ensuring that the Bureau remains financially sound and sustainable;
(j) Exercise of exclusive original jurisdiction over forfeiture cases under the CMTA; and
(k) Enforcement of the CMTA and all other laws, rules and regulations related to customs
administration.

Office of the Commissioner (OCOM)[edit]

The Bureau of Customs is headed by a Commissioner, who is responsible for the general
administration and management of the bureau. The Commissioner is assisted by six (6) Deputy
Commissioners and an Assistant Commissioner, who supervises the Internal Administration Group,
Revenue Collection Monitoring Group, Assessment and Operations Coordination Group, Intelligence
Group, Enforcement Group, Management Information System and Technology Group and Post
Clearance Audit Group.

Customs Districts[edit]
The Bureau of Customs has 17 Customs Districts (as enumerated below). Each Customs District is
headed and supervised by a District Collector, assisted by as many Deputy District Collectors as
may be necessary. A Customs District has a designated “principal port of entry”. Generally, a
principal port of entry has its “sub-port(s) of entry”.
VISION

A modernized and credible Customs administration which is among the world’s best that
every Filipino can be proud of.

MISSION

The Bureau of Customs is focused on fulfilling the mandate from the President as follows:

 To eradicate graft and corruption

 To collect duties and taxes
 To apprehend illegal drugs and other prohibited goods
 To enhance trade facilitation
 To keep our borders secure

The Bureau’s Mission also covers activities in the functional areas of Revenue Collection,
Trade Facilitation and Border Protection.

10-POINT PRIORITY PROGRAM

For 2019, we determined the needs of the organization and came up with the following 10-
Point Priority Program.

First, the Enhancement of BOC Information and Technology System, which envisions a
fully automated Customs Processing System to reduce opportunities for corruption.

Second, the Filling-up of Vacant Positions to boost personnel complement.

Third, the Provision of Incentives for our Employees to motivate personnel to do good
and perform better.

Fourth, the Restructuring of BOC Organization to improve efficiency and effectiveness of

the organization.

Fifth, the Enhancement of BOC Facilities to provide a healthy and conducive working
environment.

Sixth, the Enhancement of Cargo Clearance and Examination Capabilities to improve

trade facilitation that is compliant with international standards.

Seventh, the Enhancement of Intelligence and Enforcement Capabilities to improve

Risk Management, Detection and Cargo Targeting capabilities.

Eighth, the Codification and Harmonization of All Implementing Rules and

Regulations to improve compliance of stakeholders with regulations.
Ninth, the Creation of a Quality Management System and Integrity System to promote a
culture of honesty and integrity and instill positive values.

And Tenth, the Pursuit of the Passage of Customs-Related Legislative Measures which
seek to further reinforce and strengthen the Bureau’s mandate.

VALUES

As a Customs Administration we are committed to:

 Professionalism and Integrity

 Transparency and Accountability
 Consistency and Simplicity
 Vigilance and Dynamism
 Be responsive to the needs of the community and industry

As a Customs personnel we are committed to be:

 Competent and Efficient

 Accountable and Responsible
 Honest and Dedicated
 Firm and Fair
 Helpful and Courteous
 Simple in lifestyle

Customs cleanup: 119 officials

face administrative, criminal
complaints
The Bureau of Customs says 27 other officials have been served show cause orders for
suspected underperformance and corruption

PALACE MEETING. President Rodrigo Duterte addresses embattled officials of the Bureau of Customs in a
meeting in Malacanang on July 18, 2019. Malacañang photo
MANILA, Philippines – Some 119 Bureau of Customs officials are facing administrative and
criminal complaints, the BOC announced on Tuesday, August 20.

According to the BOC mid-year report presented by Customs Commissioner Rey Leonardo
Guerrero, the BOC filed a total of 120 administrative and 20 criminal complaints against 119
personnel.

The BOC said 27 other officials were served show cause orders for suspected
underperformance and corruption.

Guerrero emphasized that his thrust to clear Customs of corrupt and underperforming officials
would ultimately allow him to reach the BOC's revenue target.

The tally of officials include the suspended and 7 dismissed Customs officials as ordered by
the Office of the Ombudsman on August 15. The dismissals and suspension were rooted in
varying offenses, including failure to flag a consignee later apprehended for smuggling shabu.

Guerrero said the 52 Customs officials whom President Rodrigo Duterte wanted out were also
included in the count.

Guerrero said the officials had been on “floating” status since they were assigned to the
Customs Compliance and Monitoring Division where they have to report every day.

The Commissioner said the effort was in line with President Rodrigo Duterte’s aim of
ridding Customs of corruption, after back-to-back smuggling controversies which led to
the untimely exit of the last two Customs chiefs. – Rappler.com

After Duterte's SONA rant,

Ombudsman probes Customs
corruption
(UPDATED) Customs officials may face preventive suspensions as the investigation
progresses, says Ombudsman Samuel Martires
MANILA, Philippines (UPDATED) – The Office of the Ombudsman announced on Wednesday,
July 24, it will open an investigation into alleged corruption inside the Bureau of Customs
(BOC).

"The Office of the Ombudsman has ordered an in-depth investigation into alleged graft and
corrupt practices perpetrated by officials and employees of the Bureau of Customs which may
lead to criminal and administrative charges," the office said in a press release on Wednesday,
the first to be sent by the office after a yearlong silence.

The press release came two days after President Rodrigo Duterte ranted against the
BOC during his 4th State of the Nation Address (SONA).

“Bureau of Customs, the corruption-ridden, managed to collect P585 billion in 2018. How much
more could have been collected had the BOC been clean and less corrupt?” Duterte said.

Duterte even urged Congress to help him fire officials who are protected by security of tenure.

The Office of the Ombudsman has the power to fire officials, if it finds them guilty of
administrative offenses. The firing, or the suspension, usually comes first before the
finding of a probable cause for the criminal offense over which the official will undergo trial
in court.

The Ombudsman reiterated that in its statement: "If warranted, the Ombudsman may order
the suspension or dismissal from the service of erring public officials found administratively
liable for Grave Misconduct, Gross Neglect of Duty or Conduct Prejudicial to the Interest of the
Service."

Ombudsman Samuel Martires on Thursday, July 25, said that preventive suspension is possible
too, or the suspension of the officials even before the finding of guilt in administrative
offenses.

The preventive suspension may come as the investigation progresses. Martires said there may
be initial results in two weeks.

"I don't think we can proceed with the investigation smoothly if we do not impose preventive
suspension," Martires said.

The 2018 audit of the Bureau of Customs revealed the agency has not learned its lesson
from past instances of large-scale shabu smuggling at the ports because they continued to
illegally release cargo, "causing undue disadvantage to the government in the form of
additional revenues to be collected.”
The investigation is launched without the filing of a complaint, which is allowed by the
rules and is called a motu propio investigation.

"Under Republic Act No. 6770 (Ombudsman Act of 1989), the Ombudsman as protector of
the people, may investigate and prosecute on its own or on complaint by any person, any
act or omission of any public officer or employee, office or agency, when such act or
omission appears to be illegal, unjust, improper or inefficient," said the Ombudsman.

This was the first press release to come from the Office of the Ombudsman since retired justice
Samuel Martires took office and instituted what is effectively a media blackout policy on
resolutions and other updates. – Rappler.com

DOJ orders probe of alleged

Customs corruption
ABS-CBN News
Posted at Jul 27 2019 03:04 PM | Updated as of Jul 27 2019 03:37 PM

MANILA - Justice Secretary Menardo Guevarra on Friday ordered the National Bureau of
Investigation (NBI) to look into alleged corruption at the Bureau of Customs (BOC), days after
President Rodrigo Duterte spoke about the matter in his fourth State of the Nation Address (SONA).

In Department Order No. 383 dated July 26, Guevarra ordered the NBI to "conduct a thorough
investigation and case buildup on the alleged graft and corrupt practices in the Bureau of Customs,"
as the President had cited in his SONA.

It also directed the NBI to "file appropriate charges against persons found responsible therefore" if it
finds evidence of corruption.

In his report to the nation on Monday, Duterte said the BOC had managed to collect P585 billion in
2018, but added it could have generated higher revenues if there was no corruption.

"Imagine how much more could have been collected had the BOC been clean and less corrupt,"
Duterte said in his speech.

Recently, more than 60 Customs officials were relieved over alleged corruption. The agency has long
been plagued by allegations of wrongdoing, with contraband- including billion-peso drug shipments-
passing through port inspections.

On Thursday, Sen. Panfilo Lacson, who earlier bared anomalies at the bureau, said Customs chief
Rey Guerrero should ask the President for blanket authority to cleanse the bureau.

Duterte named Guerrero, a former armed forces chief of staff, to the bureau's helm in October last
year amid a multibillion-peso drug smuggling controversy under Isidro Lapeña.
He also removed all commissioners and department heads.

DOJ orders NBI to investigate corruption in Customs

51SHARES21
(Philstar.com) - July 27, 2019 - 6:00pm
MANILA, Philippines — The Department of Justice has ordered the National
Bureau of Investigation to probe the graft and corruption practices in the
Bureau of Customs, as alleged by President Rodrigo Duterte himself during
his fourth State of the Nation Address.

In a July 26 department order signed by Justice Secretary Menardo Guevarra,

the NBI was told to immediately build a case, and file appropriate charges if
evidence warrants, against alleged corrupt Customs personnel.

Read more at https://www.philstar.com/headlines/2019/07/27/1938346/doj-orders-

nbi-investigate-corruption-customs#SvH5ZdLBC9B8MPSD.99

NBI Director Dante Gierran was also directed to submit reports on the investigation
directly to Guevarra.
Read more at https://www.philstar.com/headlines/2019/07/27/1938346/doj-orders-
nbi-investigate-corruption-customs#SvH5ZdLBC9B8MPSD.99

Noting that the BoC managed to collect P585 billion last year, Duterte last Monday
said the agency could have generated more revenues had it been clean and less
corrupt.

“If we cannot abolish their position and if I cannot dismiss them for the reason that
there is a security of tenure, I will just allow them to have their plantilla positions but
they have to report to Congress every day to help me in the huge paperwork that we
have to do every day,” Duterte told lawmakers during his SONA.

Read more at https://www.philstar.com/headlines/2019/07/27/1938346/doj-orders-

nbi-investigate-corruption-customs#SvH5ZdLBC9B8MPSD.99
“All of them will go out from the premises of the Customs area. I do not want them
back,” he added. — Ian Nicolas Cigaral with a report from The STAR/Evelyn
Macairan
Read more at https://www.philstar.com/headlines/2019/07/27/1938346/doj-orders-
nbi-investigate-corruption-customs#SvH5ZdLBC9B8MPSD.99
Blame game at the BOC
By: Raul J. Palabrica - @inquirerdotnet
Philippine Daily Inquirer / 04:03 AM September 24, 2019

Exasperated by continuing corruption at the Bureau of Customs (BOC)—two

commissioners have been relieved amid shabu smuggling controversies—
President Duterte wants the agency to do away with customs brokers.

He said, “take away the brokers and you would have cut corruption overnight. On
a scale of one to 10, maybe you have reduced corruption to about eight or eight
and one half.”
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Read more: https://business.inquirer.net/279599/blame-game-at-the-

boc#ixzz65AZpgGzN
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The president of the Chamber of Customs Brokers, Adones Carmona, protested the
President’s statement on the customs brokers’ culpability for corruption at the BOC.
Calling the accusation unfair and the order a threat to the livelihood of thousands of
customs brokers, Carmona said his organization would fight against its
implementation.
Assuming the President was not joking when he made that accusation, he was barking
up the wrong tree. Corruption at the BOC is an institutional, rather than a sectoral,
problem.
Misdeclaration or undervaluation of goods (or smuggling) and bribery are rampant at
the second highest revenue raising agency of the government because its systems and
procedures breed corruption or otherwise provide opportunities for the commission of
those offenses.
Smuggling continues unabated because smugglers know how to game customs
regulations and, in case they are caught, are able to cite loopholes that allow their
escape from prosecution.
And the few who are prosecuted manage to delay their trial until the witnesses against
them lose interest or the damning evidence mysteriously disappear.
Businesses whose continued operation depends on the timely delivery of imported
materials are at the mercy of customs officials.
When the processing and release of imports are delayed for one bureaucratic reason or
another, the importers’ brokers cannot be faulted for greasing the palms of customs
officials to be able to meet delivery dates.
More so, if the goods are perishable or are tied to critical manufacturing or operational
deadlines.
No importer in his or her right mind would engage in acts of bribery unless the
attending circumstances compel him or her to do so. Every centavo paid as bribe adds
to business costs.
Recall that prior to the appointment of Secretary Rogelio Singson to the Department
of Public Works and Highways (DPWH) in 2010, this office was considered one of
the most corrupt government offices.
After shuffling a few officials, Singson overhauled the DPWH’s systems and
procedures on the conduct of public works bidding and monitoring of the progress of
constructions to minimize opportunities for corruption. When he resigned in 2016, the
DPWH ceased to be tagged as corruption-laden.
To the credit of now Public Works Secretary Mark Villar, he enhanced the same
systems and processes so the DPWH remained relatively “clean” in terms of incidence
of corruption.
But efficient and less corruption prone procedures are meaningless unless their
implementation is supervised by a competent and honest leader.
When the line supervisors and rank-and-file employees see their leader as upright and
will not tolerate any hanky panky in the performance of their official duties, they will
think twice before engaging in any unlawful activity.
To paraphrase a famous saying: Show me who your leader is and I will tell you what
kind of followers he or she has.
Sadly, the BOC has the misfortune of being led by two commissioners who failed to
live up to the President’s expectations of a corruption-free BOC. Whether or not the
present BOC commissioner would be any better than his predecessors remains to be
seen.
Before getting rid of customs brokers, the President may want to check if the problem
of corruption can be traced to the internal mechanisms and leadership of the BOC.
The customs brokers are not angels. They have their own share of corruption at the
BOC. But to make them principally responsible for it is uncalled for.
‘Corrupt’ Customs workers to face admin raps before Ombudsman – Palace

MANILA, Philippines – Malacañang will file corruption charges before the

Ombudsman against officials of the Bureau of Customs (BOC).
President Duterte summoned more than 50 BOC personnel in Malacañang on
Thursday night as presidential spokesperson Salvador Panelo said the President has
been “forthright in telling these customs officials and employees that corruption has
no place under his watch.”

“Administrative charges over allegations of corrupt practices in office will be filed

against them before the Office of the Ombudsman unless they opt to resign, and the
prosecutors will ask for their immediate suspension,” Panelo said in a statement
Friday.
Panelo said Duterte told “them that consistent with due process, they will be given
their day in court.”
“[Duterte] assured them that he would not begrudge them if they would avail of legal
remedies to question their removal from office,” he added.
The President, he said, “thanked them for accepting his invitation to meet him in
Malacañang, which according to him, showed they still have respect for him.”
“Pending the filing of cases, they shall be in floating status without authority to act on
official matters,” Panelo said.
“Let this serve as a reminder to all those officials or employees in the government that
they cannot escape liability or accountability for their acts of corruption under the
Duterte administration,” he added.